You can now independently verify that the bitcoin and ether balances you hold on Kraken are backed by real assets secured by our global exchange.
That’s because today we are releasing the results of our most recent Proof of Reserves audit, an advanced cryptographic accounting procedure we aim to conduct semi-annually in the years ahead with the help of one of the most trusted global accounting firms, Armanino LLP.
At Kraken, your security and safety are our top priority, and our regular Proof of Reserves audits will ensure we are meeting and exceeding expectations for accountability and transparency.
Indeed, in this audit, completed on December 31, our auditor determined Kraken controlled all of the bitcoin and ether belonging to clients on our exchange, as well as all the bitcoin and ether held in our industry-leading on-chain and off-chain staking services.
But we need your help to ensure our Proof of Reserve audits will be maximally impactful. After all, we can only give you the tools to verify your balances – we need you to verify them.
To verify your balance:
- Sign in to your Kraken account
- Follow this simple 3-step process to generate a ‘Record ID’ or ‘Merkle Leaf’ specific to your Kraken account and this audit.
- Enter this ‘Record ID’ on the website of our trusted auditor, Armanino.
By following the process above, you’ll be able to affirm your bitcoin and ether were held securely by Kraken at the time of the audit.
If you aren’t able to produce a ‘Record ID’ or ‘Merkle Leaf,’ don’t worry. This means you did not have a bitcoin or ether balance on Kraken at the time of our audit. Rest assured, you’ll be able to verify your account balances in future audits. We are also working to expand the number of assets that will be covered in future Proof of Reserves audits.
Looking ahead, we encourage all clients to verify the results of our audit, and if you encounter trouble with our new tools, to reach out to our 24/7 support team to share feedback.
If you’d like to learn more about Proof of Reserves, and the groundbreaking ways it leverages the transparency of public blockchains, we invite you to learn more on our website.
We look forward to continuing to lead the industry in transparency and setting an example unmatched in traditional finance.
There are no formally accepted rules or procedures that define a proof of reserves audit. For ours, we engaged an independent accounting firm to perform an engagement under standards set forth by the American Institute for Certified Public Accountants and to issue an Independent Accountant’s Report on Agreed Upon Procedures. These reports include specific procedures performed by that firm as well as their findings.